The Law of One Price (LOP) is important to models of international trade and exchange rate determination. This study investigates a variant of the LOP applied to developed and developing countries. The competing hypotheses are (1) that one price prevails in both developed and developing countries and (2) that one price prevails in developed countries and another single price in developing countries. Using data from an internationally competitive commodity (soybean meal), we found evidence favors the first hypothesis, although two large developing countries under study are active participants in regional trade integration, which may bias them against the first hypothesis.

This study extends Batten's synthetic demand modeling approach to increase the flexibility of the uniform substitute specification of the Rotterdam demand system. Marginal propensities to consume (MPC) vary with budget shares and Slutsky coefficients are defined in terms of varying MPCs. An application of the model to orange-juice products shows that the pattern of income and price elasticities over time is much different than when MPCs are restricted to be constant.

A differential approach is employed to analyze demand for meat in the United Kingdom during 1989-99. Differential demand systems with fixed price effects (Rotterdam and CBS) better explain consumers' retail purchase allocation decisions for beef, lamb, pork, bacon and poultry compared with models containing variable price effects (NBR and differential AIDS). The real expenditure and the Hicksian demand elasticities are generally found to be quite different from earlier studies using AIDS models. A quality change index of meat consumption is constructed from the estimated CBS model estimation results and decomposed into real expenditure, substitution, trend, seasonal and residual effects.

Typically, marketers define market segments by their demographic characteristics, assuming that these segments represent consumers with relatively homogeneous buying patterns. A more managerially useful definition, however, groups consumers of similar behavior directly and then seeks to find demographic commonalities among them. This study uses a latent class analysis technique to segment consumers based on their responsiveness to a set of marketing variables, finding that a multiple-segment model provides a better fit to the data, and that these segments differ significantly in their responsiveness. By targeting marketing activities to their most responsive segments, the efficiency of commodity promotion can be dramatically improved.

Evaluations of the factors influencing the adoption of agricultural and natural resource management technologies among small farmers in developing countries have been mostly limited to qualitative discussions or simple descriptive statistics resulting in superficial and inconclusive findings. This study introduces the use of Poisson Count Regressions as a statistically appropriate procedure to analyze certain common types of adoption data. It uses them to assess the impact of key socio-economic, bio-physical, and institutional factors on the adoption of integrated pest management, agroforestry, and soil conservation technologies among small farmers in three Central American countries: Costa Rica, Panama, and El Salvador.

Statistical summarizations of literature review databases using meta-regression analysis provide insight into the differences in past estimates of economic variables such as benefits and price elasticities. The panel nature of the data is an issue that has not received adequate attention in past meta-analyses. This paper conceptually and empirically explores the complexity of stratifying data into panels that model the potential correlation and heterogeneity of past outdoor recreation benefit research. Although our tests of three stratifications of the data did not discern panel effects, the inherent complexity of the data maintains a strong presumption of heterogeneous strata.

Changes in consumer demand for poultry meats can be characterized as evolving over time and following seasonal patterns. The focus of this study is on understanding factors affecting wholesale poultry prices. This information is needed so that poultry processors and poultry producers may better understand how consumer purchasing patterns affect price changes. Results suggest that seasonal differences between the price of cuts exist. Furthermore, own-cut and cross-cut flexibilities were unique to individual cuts.

This paper examines factors influencing the adoption of improved maize seeds and the use of inorganic fertilizer for maize production by farmers in the intermediate and lowland zones of Tanzania. The results indicate that availability of extension services, on-farm field trials, variety characteristics and rainfall were the most important factors that influenced the extent of adopting improved maize seeds and the use of inorganic fertilizer for maize production. Farmers preferred those varieties which minimize field loss rather than maximizing yields. Future research and extension policies should emphasize farmer participation in the research process and on-farm field trials for varietal evaluation and demonstration purposes.

A dynamic econometric model of the U.S. kiwifruit industry provides a framework for empirical analysis of small-scale commodities, particularly those used by producers for diversification. Production and marketing processes are explained by annual and monthly components, respectively. Results confirm that plantings were speculative and that economic feasibility critically impacts acreage retention as the industry matures. Prices at alternative outlets and fruit quality in storage affect monthly shipments. Flexibilities of monthly f.o.b. prices imply elastic kiwifruit demand, and imports are found to be substitutes. The industry could increase its average annual gross revenue by marketing the crop earlier in the season.

It is appropriate as we enter a new century that we reflect on the past one since our profession is nearly 100 years old: the American Association of Farm Economics was formally created in 1910. “Savvy through one hundred years of progress and experience” is one description that comes to mind. “Geriatric” is another word that might fit. I intend to highlight some broad topics that have occupied agricultural economists' teaching and research over the past 100 years, to reflect in a little more detail about our thoughts over the past 12 years as revealed in the presidential addresses at AAEA and SAEA annual meetings, to make some rather terse comments about current important issues as they relate to the issues of the past, and to conclude with some advice for the younger members of our profession and our association that may be of value in the new century. I emphasize the word may, because I am much less certain about the wisdom of my beliefs today than if I had been given the opportunity to give this talk 18 or even 11 years ago.

The impacts of using export taxes as a price control in a multi-market framework are explored using the cotton and yarn sectors in Pakistan as examples. Results show that the export tax on cotton increased domestic consumption and decreased exports of cotton in Pakistan, transferring income from cotton producers to yarn spinners and the government. There was a social loss to Pakistan in the cotton sector. The export tax on cotton increased domestic yarn production, consumption, exports, and incomes of yarn spinners, but resulted in a large transfer (social loss) out of the yarn sector.

A feeder-calf price model is estimated which incorporates elements of break-even budget analysis, including estimates of placement weights, slaughter weights, ration cost, and feed-conversion rates. From this model, a corn price multiplier is calculated which quantifies the corn/feeder-calf price relationship. Because the multiplier includes information on cattle weight, feed conversion, and ration cost, it also provides insight into how feeding programs are altered in response to corn price changes. Changes in feeding programs which occur in response to corn price changes are illustrated with dynamic simulation based on weight, ration cost, and price models presented here.

The failure of the Seattle Ministerial to launch a new Round of Multilateral Trade Negotiations raised a series of essential questions concerning the future of the World Trade Organization (WTO). This is only natural, considering the expectations that were raised before the Ministerial, the unprecedented extent of public discontent (albeit of various, often opposing tendencies), and the at-this-stage uncertain follow-up.